Perfection for intangible assets like accounts and general intangibles is typically achieved by which method?

• A. Filing a UCC-1 financing statement.
• B. Possession of the asset by the secured party.
• C. Control for all intangible assets.
• D. Recording in the county clerk's office.

Answer: (A)

Filing a financing statement is the usual way to perfect a security interest in intangible collateral like accounts and general intangibles. When you file a UCC-1, you create public notice that a secured party has an interest in the debtor’s specified assets. This notice helps establish priority over later creditors and is the standard approach under UCC Article 9 for most types of intangible property.

Possession is typically used for tangible collateral, not for accounts or general intangibles. Control is a perfection method, but it applies to specific categories (such as certain investment property or electronic chattel paper) rather than all intangibles. Recording in a county clerk’s office isn’t the method used for perfecting security interests in these assets. So, filing the UCC-1 financing statement best fits intangible assets like accounts and general intangibles.